Read The Times Australia

Daily Bulletin

Government accelerates warship building in bid to prop up South Australian economy

  • Written by: The Conversation
imageTony Abbott has announced a commitment to defence shipbuilding in South Australia.Ben Macmahon/AAP

The government has unveiled a centrepiece of its coming Defence White Paper, bringing forward a A$40 billion program to build surface warships, centred on the economically ailing state of South Australia.

The acceleration is aimed at saving jobs that would have otherwise been lost on the original timetable.

During an intensive campaigning visit to SA – where unemployment is above 8% and the Coalition’s stocks are at rock bottom – Tony Abbott said that from 2020 onward those employed continuously in surface naval shipbuilding would climb to about 2500.

Most of the workers would be in Adelaide “because Adelaide is where the major shipbuilding infrastructure is”.

But senator Nick Xenophon, who plans to run lower house candidates in the election, immediately questioned the credibility of the government’s commitment, given that it appeared to be walking away from a 2013 election promise by its then-defence spokesman David Johnston to build 12 submarines in SA.

Where the submarines are to be built is yet to be determined. However, the government has pledged there will be substantial work, especially from maintenance, in SA.

The government said that over the next 20 years, $89 billion would be invested in ships and submarines for the Australian Navy.

In Tuesday’s announcement, the Future Frigate program to replace the ANZAC class frigates will be brought forward to start in 2020, three years earlier than scheduled under Labor’s Defence Capability Plan.

Construction of Offshore Patrol Vessels, or Corvettes, to replace the Armidale class patrol boats, is to be brought forward by two years, to begin in 2018.

The government says that in the short term, the bring-forward will sustain around 1000 jobs that would otherwise have been lost.

“It should mean that at no stage does the total number of jobs in naval shipbuilding in Australia drop below about 1000, so that when we do start building up again to 2500 from 2020, it’s not the cold start that would otherwise be the case,” Abbott said.

But in the meantime there will be a dip in employment from the present level of about 2000. Abbott said the government could not entirely make up for the neglect of decision-making between 2008 and 2013.

Defence Minister Kevin Andrews said that “never before in the history of federation has a national government announced a continuous ship build in Australia”.

While the major surface shipbuilding will be in Adelaide, the subordinate yard could be in SA or elsewhere, for example at Williamstown in Victoria.

In relation to the submarines, Abbott said the government had asked the various potential partners to give a price for a domestic build, a hybrid build and an offshore build.

Xenophon, who polled nearly two quotas at the Senate election, is targeting in particular the Liberal seats of Hindmarsh, Boothby, Sturt and Mayo. The latter two seats are held by ministers Christopher Pyne and Jamie Briggs respectively.

Xenophon said the government could not expect to be believed on the frigates until it delivered on its promise to build the $50 billion submarines in SA.

Xenophon said the promised frigate build was at least two elections away and the announcement was “alarmingly short on detail”.

Labor defence spokesman Stephen Conroy said that “what we’re seeing today is a circus in South Australia to protect Tony Abbott’s job and Christopher Pyne’s job”.

Michelle Grattan does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond the academic appointment above.

Authors: The Conversation

Read more http://theconversation.com/government-accelerates-warship-building-in-bid-to-prop-up-south-australian-economy-45669

Business News

Designing Eco-Friendly Custom Water Bottles for Your Next Event

The Evolution of Sustainable Event Merchandise Event planning has undergone a massive transformation over the last decade. Gone are the days when organizers could hand out cheap, single use plastic...

Daily Bulletin - avatar Daily Bulletin

Why Choosing a Professional Florist Melbourne Makes Flower Delivery Impactful

Flowers have a great power to speak when humans cannot express their feelings with right words. Flowers are the best gifts when you are celebrating a birthday or welcoming a newborn child into your fa...

Daily Bulletin - avatar Daily Bulletin

The Business Case for Choosing Australian Fabricators Over Imported Alternatives

For a long time, you might have defaulted to overseas suppliers when sourcing fabricated metal components for a project. The unit price was lower on paper, and the maths seemed straightforward. That...

Daily Bulletin - avatar Daily Bulletin

Australian organisations are relying on business continuity plans built for a far more predictable world

Tariff escalations, supply chain fragility, geopolitical events, and the ongoing threat of cyber disruption have reshaped the risk environment facing Australian organisations. The problem is that ma...

Daily Bulletin - avatar Daily Bulletin

How to Rent a Car for Uber in Melbourne: What Every New Driver Needs to Know

Starting out as an Uber driver in Melbourne is not as complicated as it sounds but getting the vehicle right is where most new drivers get stuck. Uber has strict requirements around vehicle age, condi...

Daily Bulletin - avatar Daily Bulletin

When Should You Speak to a Lawyer About a Legal Issue?

Legal issues can begin with a simple question, then become harder to manage once formal steps are involved. Many people wait until a matter feels urgent before seeking guidance, even though earlier ...

Daily Bulletin - avatar Daily Bulletin

The strategic rise of Bali as Australia’s next essential healthcare support hub

As Australian healthcare providers grapple with unprecedented operational bottlenecks, a new nearshore model is quietly transforming patient care delivery. Forward-thinking organisations,  including...

Daily Bulletin - avatar Daily Bulletin

Cost Savings and Benefits of Using Used Pallets in Logistics

In today’s competitive logistics and supply chain industry, businesses are constantly looking for ways to reduce operational costs without compromising efficiency and reliability. One of the most prac...

Daily Bulletin - avatar Daily Bulletin

How Fulfilment Services in Australia Help Businesses Scale Efficiently

The growth of e-commerce and modern retail has transformed customer expectations. Consumers now expect fast shipping, accurate order processing, and seamless delivery experiences regardless of where...

Daily Bulletin - avatar Daily Bulletin

The Daily Magazine

Why Businesses Are Choosing Virtual Reception Services

In today’s fast-paced digital world, businesses are constantly evolving to meet the needs of their...

Why Concrete Pools Offer Endless Design Possibilities

Imagine stepping into your backyard and being greeted by a stunning pool that reflects your person...

How Legal Advice Can Help with Driving Offences

Driving is a part of everyday life for many people. It allows us the freedom to travel, commute, a...

How Experienced Lawyers Support Criminal Defence

Facing criminal charges can be one of the most daunting experiences in a person's life. The stakes...

How media and Digital Marketing agencies Help Brands Stand Out

In today’s hyper-connected world, standing out is more challenging than ever. Brands are competing...

How to Choose the Perfect Honeymoon Destination

Your wedding day is just the beginning of an incredible journey together. After saying "I do," it’...

Walking Shoes vs Running Shoes: Which Are Better for Daily Walking?

Running shoes have become the default athletic footwear for a lot of people who rarely run. That ...

What Happens to Your Rubbish After It Leaves the Kerb

Most of us don’t think much about rubbish once the bin lid closes. The truck arrives, the bins are e...

Thermoplastic vs. Paint: The True Long-Term Cost Comparison

Line marking looks like a simple line item on a school maintenance budget, until the true cost of ...